Natixis
Australian nonbanks' song remains the same
Every year, KangaNews hosts Australia’s leading nonbank lenders at a sector roundtable discussion – supported since 2019 by Natixis. In keeping with the unique circumstances of 2020, this year’s roundtable was conducted via videoconference. While market conditions have changed dramatically in the past 12 months, the sector is able to tell the same story of solid funding foundations and sound credit quality.
Securitisation industry shifts focus to capacity
One of the best-received panel sessions at the Australian Securitisation Forum’s 2024 conference reviewed the limits of growth in Australian dollar securitisation. The back end of a record year for supply volume is an appropriate juncture to discuss the upper limit of capacity – but views diverge on where this might be or what steps should be taken next.
Infrastructure investment priorities and a bigger capital markets role
Australia’s infrastructure investment pipeline is significant, especially given the context of digitalisation and energy transition. But project financing and debt capital markets have never been the easiest of bedfellows. KangaNews and Assured Guaranty hosted a group of infrastructure industry leaders in October to discuss the domestic and offshore financing environment, and investor relations. A wider-ranging conversation covered technology, international examples, delivery and financing methods, and sustainability.
Mining sector gets its day in the sun
The mining sector has a critical role to play in supplying the raw materials needed for transition, as well as those that support global prosperity and growth. While it has often been overlooked in sustainable finance, work on the “green enabling” economy means the situation is changing – and Australia is at the forefront of this evolution.
Private capital on the cards for nonbanks
Having emerged from the most challenging origination environment in many years – and despite lingering lending market challenges – Australia’s nonbank lenders are once more exploring diversifying further into private markets to find incremental funding dollars. Intermediaries say there is a waiting pool of deployable capital and while only a few issuers have gone public with new structures, others are considering their next moves.
Cautious optimism turns nonbanks' minds to funding scale
As recently as 2023, the lingering impact of the term funding facility was making originating new mortgage volume highly challenging for Australia’s biggest nonbank lenders. In August 2024, KangaNews and Natixis CIB hosted sector leaders at a roundtable discussion in Sydney, finding that the conversation has moved back to managing growth – albeit while keeping an eye on a challenging economic situation.
nonbank Yearbook 2024
KangaNews's eighth annual guide to the business and funding trends in Australia's nonbank financial-institution sector.
